Yemisi Izuora
In a landmark demonstration of its steadfast commitment to advancing Nigeria’s debt capital markets, promoting sustainable finance, and enabling transformative economic development, FMDQ Securities Exchange Limited has approved the listing of Lagos State Government of Nigeria’s ₦14.82 billion 5-Year 16.00% Series 3 Fixed Rate Green Bond and ₦230.00 billion 10-Year 16.25% Series 4 Fixed Rate Bond under its ₦1.00 trillion Debt and Hybrid Instrument Issuance Programme.
This historic dual-series approval by the Exchange’s Board Listings and Markets Committee is one of the most significant sub-national debt capital market transactions in Nigeria’s financial history, further reinforcing FMDQ Exchange’s position as a reliable platform for sovereign and sub-sovereign entities seeking credible, transparent, and efficient access to long-term capital.
Recognised as Nigeria’s commercial hub and one of Africa’s largest subnational economies, Lagos State Government of Nigeria continues to lead in financing sustainable infrastructure, urban development, and public service delivery for its over twenty (20) million residents.
Contributing approximately 30% of the nation’s gross domestic product and hosting the largest concentration of businesses and financial institutions in the country, Lagos State’s access to long-term capital is both a state priority and a national imperative.
Proceeds from this dual-series issuance, sponsored by Chapel Hill Denham Advisory Limited, Registration Member (Listings) of FMDQ Exchange, will be deployed toward critical infrastructure development, sustainable projects, and strategic programmes designed to enhance the standard of living for all Lagos State residents and sustain the State’s trajectory as Africa’s premier commercial destination.
The Series 3 Fixed Rate Green Bond marks a milestone for Lagos State and Nigeria’s sustainable finance ecosystem. In alignment with global green bond standards, the Issuer has committed to applying the proceeds exclusively toward eligible green projects, including renewable energy, energy efficiency, clean transportation, sustainable water management, climate resilience, and environmentally responsible urban infrastructure. The Series 4 Fixed Rate Bond provides stable borrowing costs, enabling reliable financial planning and long-term budget management. Together, these instruments underscore the increasing role of sub-national governments in mobilising long-term capital for Nigeria’s infrastructure development. Through this issuance, Lagos State joins other African sub-national issuers leveraging debt markets and green finance to address environmental challenges and infrastructure gaps.